Proposed rate increases for sewer and water
By JEREMIAH O’HAGAN Staff Reporter
Stanwood City Council debated proposed annual rate increases of 5.5 percent for sewer and 8 percent for water at Thursday’s budget workshop.
Although everyone agreed the proposal comes at a difficult time, it wouldn’t become effective until January. City Administrator Joyce Papke declared “It’s really tough, especially now” in an economy that’s already pinching the community.
The proposal is in response to several factors, one of which is lack of growth. New homes pay a one-time new connection fee, but the city expects revenue from only 10 connections in 2010.
Another factor is found in the city’s past. Prior lack of funding led to projects being pushed out or put on hold, and some of those projects are coming due, said Andy Bullington, Public Works director.
“We’ve pushed projects out so far that it’s becoming critical,” he said.
Now those same projects will cost more.
“The inflation index wasn’t factored into the cost,” said Bullington.
Mayor Dianne White acknowledged the city is being forced to confront “how lax we’ve been for decades.”
Councilman Bill Carlton said this has backed the city “in a corner” and stressed the importance of being proactive.
Regarding the 2010 proposed increases, Papke said “it’s a balance of looking out for ratepayers and providing those ratepayers with the same level of health and service they’re used to, in spite of inflation.”
Council discussed holding off on rate increases for another year. In the end, though, the need is the same. Projects won’t disappear. Mayor White compared the process to a landlord making small increases in rent each year to cover expenses and maintenance rather than waiting several years to hit the renter with one large increase.
Councilman Leonard Kelly said, “citizens would be outraged by a system failure, and what are we going to tell them? ‘Yeah, but we didn’t raise your rates.’”
City Council reached no consensus, and scheduled another budget workshop Nov. 12 for further discussion. The meeting will take place 5-7 p.m. in the school district’s administration building, 26920 Pioneer Hwy, Stanwood.
